MEMPHIS REISEN

Government to channel major share of Qatar deal proceeds toward debt reduction: Finance Minister

Finance Minister Ahmed Kouchouk affirmed that the government remains committed to directing a substantial portion of proceeds from major investment deals toward reducing public debt. He noted that Egypt has successfully cut budget-sector debt by about 10% of GDP over the past two years, at a time when the average debt level among emerging markets has risen by 7%.

Speaking following the signing of the Egyptian-Qatari “Alam El-Roum” investment agreement, Kouchouk said the government’s fiscal strategy is grounded in “strong political will and a clear vision to position Egypt as a regional hub for manufacturing and exports.” He added that the state continues to present exceptional investment opportunities focused on developing integrated urban communities and generating employment for young people.

Kouchouk emphasized that the North Coast has become one of Egypt’s most attractive destinations for tourism, real estate, and service-sector investments—providing sustainable returns for the national economy. He said that flagship projects such as Ras El-Hekma and Alam El-Roum underscore Egypt’s growing competitiveness and its appeal to global investors.

The minister described the Egyptian-Qatari partnership as a model for long-term cooperation that delivers mutual benefits to both the state and investors. He revealed that the Alam El-Roum project will generate $3.5bn in direct cash proceeds—expected before the end of 2025—along with an in-kind share worth $1.8bn and 15% of net profits allocated to the New Urban Communities Authority (NUCA). The total Qatari investment value for the project stands at $29.7bn, representing a significant boost to Egypt’s foreign direct investment inflows.

Kouchouk noted that Egypt is laying the foundation for deeper regional and Arab economic partnerships by attracting large-scale, sustainable investments. He highlighted growing confidence among both regional and global investors in Egypt’s economic potential and investment climate, pointing to a series of landmark deals recently concluded as evidence of that trust.

He further stated that the government is continuously expanding its partnership network with investors, aiming to stimulate job creation and sustain growth. “The private sector—both local and international—continues to demonstrate its ability to lead Egypt’s development drive through major investments across key sectors,” he said.

According to Kouchouk, economic activity, job creation, and development momentum represent the highest return a state can achieve—beyond the direct financial benefits. He added that the completion of successive major investment deals signals that Egypt’s economy “is firmly on the right track.”

He also stressed that the country’s improving economic performance is providing greater fiscal space to reduce debt and enhance public services. “Egypt’s financial and economic indicators continue to show positive momentum, supported by strategic partnerships such as the recent Qatari agreement,” he said.

Kouchouk reaffirmed the government’s commitment to maintaining a stable, attractive investment environment through simplified tax and customs procedures and by easing burdens on investors. He underlined Egypt’s dedication to supporting private-sector profitability, ensuring competitive neutrality, and fostering greater investment and technology transfers.

 

The post Government to channel major share of Qatar deal proceeds toward debt reduction: Finance Minister first appeared on Dailynewsegypt.